Boeing Is Reportedly Stocking Up On Massive Amounts Of Metals Part From Russia

Tailwing
of a model Boeing 787 Dreamliner aircraft is pictured at the
Boeing booth at the Singapore AirshowThomson Reuters

(Reuters) - Boeing and United Technologies have been amassing
titanium parts from Russian producer VSMPO-Avisma in case
tensions between the United States and Russia disrupt supply of
the metal critical to building jetliners, the Wall Street Journal
reported, citing an industry official familiar with the plans.

Boeing Co, United Technologies Corp and Airbus Group NV buy a
substantial share of their titanium requirement from VSMPO-Avisma
Corp, WSJ
reported.

Efforts to stock up on titanium parts began in March 2014, after
the annexation of the Ukrainian region of Crimea by Russia
triggered tensions between Moscow and Western governments, the
newspaper said.

Representatives at Boeing and United Technologies did not
immediately respond to Reuters' request for comment outside
regular U.S. business hours.

In response to the conflict in Ukraine, the United States has for
several months been leveled sanctions on Russian individuals and
smaller companies.

Western countries initially imposed mild sanctions on Russia
after it annexed Ukraine's Crimea peninsula in March, but
tightened them after flight MH17 was shot down on July 17.

Companies in the Eurozone have also felt the pinch of the
standoff.

(Reporting by Ankush Sharma in Bangalore; Editing by Gopakumar
Warrier)

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